Agricultural Investment Opportunities in Botswana By: Mmadima Nyathi (Agric Hub Director) & Tidimalo Rakgantswana
Table 1: Food Security Situation ProductDomestic DemandDomestic ProductionImports Sorghum/Millet Mt (54%) Maize Mt (10%) Fruits & Vegs Mt (48%) Pork972 Mt455 (47%)517 Poultry Mt (99%)4 576 Honey31 Mt14 (45%)17 Mutton & Chevon997 Mt770 (77%)227 Milk45 million litres3 (6%)42
Opportunities …cont’d 2. Ostrich Farming Remains unexploited High ostrich population a sign of good potential (77 000) Existence of an EU listed export abattoir
Opportunities …cont’d 3. Processing /Value Addition Currently limited. a. Commercialisation of agro-technologies (e.g. NFTRC proven). b.Tannery for hides & skins 2.5 million cattle and small stock, Hides over annually. Either exported raw or discarded. Tanners are small scale cottage-yard industries.
Opportunities …cont’d c.Horticultural Products For longer shelve life. Could promote production to increase supply. Positive developments experienced recently. d.Livestock Products Processed beef products for e.g limited (echo beef and pet food mainly). Others?
Opportunities …cont’d 4.Grey Water Reuse for Agriculture Study currently on until July Sewage water in towns & major villages. Opportunity in provision of technology to purify the water. Farming opportunities to result.
Opportunities …cont’d 7 5.Privatisation of Government Entities Most entities underperforming & poorly maintained. i.Production & Training Farms e.g. valley, Dikabeya, Ramatlabama. ii.Farmers Service Centres e.g. Goodhope: More to be established.
Opportunities …cont’d 8 6. Provision of Agriculture Insurance Study conducted in 2009 revealed necessity of agriculture insurance in Botswana. only 1 company is offering livestock (cattle) insurance currently.
Opportunities …cont’d 9 7.Joint Ventures i.Between foreigners and citizens. ii.The Hub facilitating this. iii.Keeps a database of investors.
Opportunities …cont’d 8.Zambezi Agro-commercial Project –Water extraction from Zambezi River. –i.e. 495 million cubic metres/year to be done by Opportunity lies in pipe construction Approximately 110kms & over 2m high In later years pipe to be extended for domestic water supply in the country Has to be started before January 2015 Or renegotiations of water rights to be done
Supporting Structures for Agric Supportive policy environment for sector’s development. -Government support programs which have now been redesigned for effectiveness e.g. ISPADD now targeted. - Government funding for diseases and pets of economic importance.
Supporting Structures…cont’d New agricultural strategy in pipeline: –Emphasises opportunity cost of idle land. –More outward looking & encouraging to FDI (directly or through joint ventures). –The Hub keeps a database – to try & link investors
Supporting Structures…cont’d Supportive land tenure Infrastructure development – Significant investment made in general infrastructure. ▪ Available: (airports, Trans-Kalahari road); ▪ 0n-going (Walvis bay dry port); ▪ Planned (Trans-Kalahari railway line; portable water and electricity). – Infrastructure to agricultural production areas still a challenge.
Supporting Structures…cont’d Available Land –Some of it from Ministry underutilised land Arable Land i.Dukwe ii.Nshakazhogwe iii.Boteti iv.Thune (dam) v.Zambezi Agro project
Supporting Structures…cont’d Livestock Land i.72 ranches in the central district. ii.20 ranches in Kweneng District. Ostrich Farming Land i.7 farms of 20 Ha each ii.4 farms of 150 Ha each
Figure 1: Agro-Ecological Potential of Different Areas Sunflower Livestock Farming Beekeeping Pulses Sorghum Horticulture Millet Maize Fishery
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